Advertising As Complimentary Tool In Marketing Of Aluminum Kitchen Ware (A Case Study Of Tower Aluminum)

Project and Seminar Material for Marketing

Advertising As Complimentary Tool In Marketing Of Aluminum Kitchen Ware (A Case Study Of Tower Aluminum)


Advertising includes those marketing activities, other than personal selling, sales promotion and publicity that stimulate consumer purchasing and dealer effectiveness. They include point-of-purchase displays, shows and exhibit demonstrations, and other non-recurrent gelling efforts.

Business can target advertising at three different audiences: consumers, resellers, and the company’s own sales force. Advertising acts as a competitive weapon by providing an extra incentive for the target audience to purchase or support one brand over another. It is particularly effective in spurring product trail and unplanned purchases. Most marketers believe that a given product or service has an established Perceived price or value, and they use Advertising to change this price-value relationship by increasing the value and/or lowering the price. Compared to the other components of the marketing mix (Sales Promotion, publicity, and personal selling), Advertising usually operates on a shorter time line,uses a more rational appeal, returns a tangible or real value, fosters an immediate sale. And contributes highly to profitability. In this research work, the researcher Will consider in chapter one … the introduction of the study which will in turn considers the following topics. The background of the study, the statement of research problem, the objective of the stuffy, significance of the study, the hypothesis and the structure of the work.

Chapter two focuses on the literature review; this chapter is where the research extract materials from various books, magazines, newspapers and internet resources. In chapter three, the researcher deals on research methods while chapter four is data analysis and presentation. The findings, summary, and conclusion is in chapter five.

Chapter One


1.1 Background to the Study

The marketing activities of an organization is guided by six marketing mix that comprises of controllable variables that marketers use in the achievement of their marketing objectives. It includes the combination of product, price, physical distribution and promotion; generally referred to as the four Ps which serves as the pivot of marketing management.

Promotion can be seen as the use of communication to persuade or convince prospective customers. In other words, it is the coordinated efforts initiated by the seller to establish channels of information and persuasion to foster the sales of goods, services or ideas. It includes Advertising, Personal Selling, Sales Promotions, Publicity, Public relations. But the general nature and scope of this project is limited to Advertising.

Advertising is a forceful tool in molding consumer’s attitudes and behaviors towards goods, ideas and services by the manufacturer. Hence, it has become an integral part of our society. It gets the attentions of the people through canvassing to make them know what the manufacturers have to sell or what the consumer need and actually want to buy via various channel of information.

In recognition of the importance’s of Advertising as complementary tool in marketing activities that the project is all about, to investigate those variables that enhances the necessity for the attainment of desired sales growth in a highly competitive environment.

1.2 Brief History of the Company

Tower Aluminum (Nigeria) plc; is the leading aluminum manufacturing company in Nigeria. The company commences operation on 18thSeptember 1959. It started manufacturing aluminum cooking utensils (Ports and Pans) at the Oba Akran Avenue Ikeja, Lagos after securing franchise ship from the Tower Brazil and U.K. to reserve the right of a multinational company. In 1977, the company embarked on a progressive diversification programmed by setting up facilities to manufacture, extrude profiles at Dopemuin Lagos state.

The next significant step in its backward integration programmed was in 1982, when Tower opened its most modem plant at Otta, in Ogun state. It employs the most modem and continuous casting technology whereby molten aluminum (Bauxite-ore)is converted into sheets and bullets in their operation. Ithas various divisions namely;

Tower Hollloware:

Tagged, the mother of Tower Aluminum was the first division that engaged in manufacturing of domestic and industrial kitchenware’s ranging from the quality ware casseroles, Food steamer, Gas range, light weighted and polished casseroles, water-filters etc situated at the Head Office in Oba Akra Avenue Ikeja, Lagos. In 1994, the division took to a Horizontal integration Progress, towards the acquisition of household aluminum products, and re-named. Tower Housewives to produce kitchenware that are relatively lighter than that of Hollowware to compete with similar aluminum products in the market.

Tower Building Products:

Manufacturer of corrugated and fabricated sheets and accessories made of aluminum and steel. They includes roofing sheets with cladding and colour coated. Other division includes Alufoil, Tower tools and engineering.

Presently, the company is having eleven recognized shareholders with authorized share capital of N500m. as at 31st Dec., 1998. The share capital held are 81% and 19% of foreigner and Nigerian respectively, comprising of issued share capital of N175, 444, 515. The company sales turnover increases from N1.8b in 1996 to N2.55,in 1997 and N2.8b in 1998.While the company paid the sum of 50% V.A.T on the net sales, income tax of 30% and withholding tax to the government. In 1998they had a dividend of 20k per share and presently having the highest market share in the aluminum industry with about 60% of the total market share.

The company high level of profit and success operation can be traced to:

  1. Effective promotional activities.
  2. Efficient Management of Operations
  3. Strategic market penetrations into the environment

The company embarked on continuous search for improved technology and sale techniques. Presently embarking on over a million naira research and development programmes with effect from April 1999. It aimed at producing and importing ceramic flanks and lanterns to the neighboring West African Countries. .

1.3 Purpose of Study

It is to identify and analyze how advertising has contributed to the realization of marketing objectives of the Company, particularly in the competitive environment.

In Nigeria, there are various brands of kitchen ware in the markets, both imported and locally manufactured and for acompany to triumph, there is need for promotional programmes designed to reach the consumers through advertising and sales promotion. Moreover, the rate at which competitors are increasing necessitate the need for effective advertising, thereby requiring a tactical planning of advertisement.

The critical evaluation of post performance of advertisement portrays the importance of advertising in company’s marketing activities despite it attracts a more conscious and product Spending on advertisement, but consumers are able to make a buying decision that gives a desired satisfaction in the presence of competitors like Mulmaco, Green-turtle, first aluminum, Rafolat, Jimexto mention few.

1.4 Objective of the Subject

Lack of proper and adequate promotional planning result to failure to achieve the set objectives therefore, Promotional as a complementary tool used in marketing needs proper planning to guarantee successful execution. Although, advertising effectiveness may be a necessary condition but not sufficient for the continuous existences of growth and survival of any firm in competitive industrial setting.

My aim is to find out how Tower Aluminum (Nig) Plc. is coping with the, various uncontrollable factors that is existing in the business environments, and the recognition of multitude needs of that consumer and the dynamic nature of the society which may result from government legislation etc and most importantly, how the company is able to adopt strategy to combat various marketing problem as result of prospect consumer development and sustainment through innovation and modification of new and existing products, devising a means of creating awareness about the products.

1.5 Significance of Study

A systematic planning of advertising is required for the continuous existences of varieties of product that resulted to competition. These will make the company to monopolize the market for the good to certain extent, since marketing strategies and tactics cannot be operated in a vacuum.

The aim and objectives of this project of study is to examine and highlight the importance of advertisement and it commensurate effects on in the achievement of marketing objectives. It intended to evaluate the major problem in the media selection, advertising message, target audience, pre-text and post-text of advert effects and possible solution to the unforeseeable circumstances that may hindered its function.

The completion of this study will provide adequate knowledge about the importance of advertising as a means or weapon in a highly competitive market, as well as assisting the Company’s Management to the secondary data to tackle most promotional problem and other related marketing problem and for future research work

1.6 Statement of Problem

Tower Aluminum was rightly positioned and enjoyed an impressive market share based on quality product and good communication strategy. However, the recent activities of competitors indicate visible encroachment into the market share with competitors seems to be increasing in their efforts therefore, there is need for the search for a clear cut information on operational process, consumer usage attitude and right communications towards the company with a view of regaining its position and extending the presences of Tower Aluminum kitchenware market. To find a possible solution to the stipulated above problems of how advertisement can be usedas a complimentary to on the marketing of their product and how the company planned their advertising. There is need for the development of research questions for a vibrant marketing strategy for the company – viz.

  1. Whether the advertising message will affects the consumer brands maintenance?
  2. Whether advertisement affects consumer buying decisions?
  3. What is the consumer belief and attitudes towards the company?
  4. Does the Tower Aluminum (Nig) Plc effectively employed the promotional mix (advertising)?
  5. Are the products of Tower frequently advertised?

1.7 Working Hypotheses

Hypothesis are tentative statement about the universe, it may be true or not. The null-hypothesis Ho is set for the study as I proceeds; it used in sampling evidence to determine whether statements about the population are likely to be true or false.

The following hypothesis have been draw to be tested to enable a valid statement regards the issue.

Hypothesis 1
  • Ho: That advertising message has no effect on the consumer brand maintenance.
  • Hi: Advertising message have effect on the consumer brand maintenance.
Hypothesis 2
  • Ho: That advertisement has no effects on consumer buying delusion
  • H1: Advertisement has significant effect on consumer buying decision.
Hypothesis 3
  • Ho: Consumer belief and attitude towards the company is not favourable.
  • H1: Consumer belief and attitude towards the company is favourable.

1.8 Limitation of Study

Due to the scope and nature of this research; the need for certain limitation of study was tensed on; that are associated problem experienced during the research study which includes;

Sampling Method:

The sample size chosen may not be the true representation of the population of the targeted market.

Management Lapses:

The· manager inability to divulge confidential data used in executing the company’s objective.

Questionnaire Administration

Respondent poor responses in returning the questionnaire is emigrated.

Respondent Biasness:

Inability to give correct information in the questionnaire by respondent due to lack of sport assessing.

Chapter Five

Summary, Conclusion and Recommendations

5.0 Introduction

The aim of this chapter is to make provisions for readers who will not be able to take the pain of going through the entire project, this makes the chapter to be as important is any other chapter. Here, the whole study is summarized to examine certain beliefs put into the hypothesis, in pursuance of this purpose, a research was conducted among selected samples and the results has been analyzed in the last chapter.

5.1 Summary

From the analysis of the study, the success or failure of a company product and its continuous existences depends on how the company exploits it promotional mix (advertising) among other elements of the marketing mix. Though, the element i.e. 4Ps (Price, Product, Physical distribution (Place) and Promotion) required a proper and solid blending such that the product is been accepted by the consumer, its price must be affordable, it must be early available and sufficiently (advertised) among other promotional mix, so that people will be aware of the products, then, one can conduct that advertising remains the most powerful one among the communication mix.

Advertising can be used to achieve various company marketing objectives which may include, the inducement of consumer to try a new or an existing product, intensified the usage of the products, affecting and modifying the consumers behavior towards, affecting and.• modifying the consumers behavior towards changing their attitudes and beliefs, it provides for keeping company’s market share by sustaining consumer preference of the company’s product and keeping the high class image of high class product of the company, reinforcing the company and its product to the consumer, etc.

The chapter one of this project contains the information’s that give the insights to the topic of study, it includes the brief history of the company understudy, scope of study, choice and significance of the study. There are five working hypothesis put, forward for tile study which were later tested.

The chapter two dealt with the review of literature on the topic, where the views of various authors are comprehended and related to the present situation in the marketing activities.

The chapter three provides for the research methodology which explains the method used in the data collection, and determination of sample size, and the test of reliability and validity of data collected are carried out.

The chapter four shows the presentations of various, data collected, analyzed to provide meaningful interpretations to study and the test of formulated hypothesis on the data collected with the employment of chi-square test of statistic

5.2. Conclusion

As results of the review of literature on advertising that was comprehended to meet the existing marketing activities and the questionnaire administered to the selected respondents, which was collected, analyzed interpreted and presented in this project will conclude that the company cannot survive without advertising their product in any form. This means that truly Advertising is a complimentary tool in the marketing activities of a particular product, it plays a vital role in creating awareness which eventually leads the consumer to buy the product.

If all my findings as well as recommendation as given below are properly implemented by Tower Aluminum (Nig)Plc, it will enhanced the good image of the company and its products despite the erroneous or misconception of the consumer that advertising is deceptive, misleading, adds to the cost of product and the notions that it’s wasteful.
Advertising willing help in that, it will not encourage competitions in the industry but encourages price competitions by giving the consumer a free choice of products and carries message to a widely spread and scattered target audience that the salesmen cannot reach. Apart from this, advertising supports the communication media, whereby useful and educational programmes are been sponsored by the company.

Finally, Tower Aluminum will be able to achieve a better image, creates awareness, building favourable attitudes of the consumer towards the company consequently, maintain and increase the degree of consumer patronage.

5.3 Recommendations

The examination of the role of advertising in Tower Aluminum (Nig) Plc, and other Aluminum industry in general gives a useful suggestion and recommendation based on the researcher’s findings, hoping that the recommendation would help to enhance the effects of advertising in the marketing activities.

The recommendation includes:

  1. The Management of Tower Aluminum (Nig) Plc, should embark on continuous consumer research to determine the set of actual and potential consumer of their product, what the consumer needs and wants, and the best possible way to satisfy them.
  2. The company should endeavour to define and stipulates the overall advertising objectives, and making provisions for flexibility, so as to meet the ever changing future marketing trends.
  3. Thestudy, provides that advertising changes the consumer attitudes and belieftowards a particular company so also, Advertising serves as the major factor that influenced the buying decision of the consumer. Therefore, the company need to budget for extensive advertising to achieve. The fore-mentioned by the company.
  4. The company should pre-determine the criteria as to the selection of advertising agency to handle its advertising meet the objective of the company. For instance there is need to examine the agency’s previous advertisement handled,the past and present agency’s clients, the reputations of the agency, the quality of coverage of advertisement, the market coverage etc.
  5. The advertisement must be brief, specific, clear, concise, motivating etc, there should be development of good creative strategy concerning the message to subdue the company’s objectives. The advertisement directed to the defined target audience which conveyed the intended message to consumer. Adequacy must be provided for the languages to meet various ethnicity.
  6. There should be a regular advertisement, in other for tower Aluminum to maintain the existing market share and sales volume in light of other competitors in the Aluminum industry.
  7. Finally, the management of Tower Aluminum (Nig) Plc should exploits the opportunities that comes from advertising for instance Advertising that was developed to improve the company image,or increase the sale volume,the company must maintain the high quality of product as well as examine production capacity to meet the increase in sales.

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